the willows report is next. rri: >> hello. morning quarterbacking on the election has begun to billions of dollars of campaign spending and what we have to show? not much. the same president the same congress the same problems. the fiscal cliff that pushes our economy into another recession. the lower economy and higher taxes a bad cocktail. , promised a new era but that reminds me of groundhog's day. it is great to have my guess

here. the perfect do well to talk monday morning quarterback. yourself awful the president today actually calling on boehner and harry reid to say we have to come together. we could have seen more of that from the first administrations that he is doing it now. what are the odds they get together? >> everyboby hopes they are high but you want to avoid the high stakes game of chicken and during the lame duck session. that could have been. but his willingness to meet with mitt romney and boehner to resolve the situation. but if you heard voters press conference he sounds like he is the same position

under no circumstances will taxes ever be raised. gerr he sad the reelection of the president is not a mandate to ise taxes. this is a huge debate. can hey come together? >> i elieve we can seize the futre together. we're not as divided as our politics suggest as cynical as the pundits believe that greater than the sum and we will remain more than a collection of red states and lose states we are the united states of america. gerri: why didn't we hear this four years ago? >> we did.

and eight years ago when a bomb gave the speech to the illinois state senators. and insisting i'm higher tax rates boater has agreed to the republicans on the super committee agreed to greater revenues the large benefit to those. gerri: of the high tax reformo ing down rates. >> that is the obvious direction. taxes with people over the year and eery generation we need to clean off the

barnacles and done on the bipartisan basis by reagan, packwood, it is possible to do this. to put that caboshed to assist don higher tax rates. >> talk about boehner but let's talk about harry reid. here is what he had to say. >> to be as conciliatory as possible i want to work together and to understand and they cannot push us around. gerri: what?

>> i am willing to work with anybody by he wants to go back toclinton in tax rates creating 23 million jobs. and for these rates you will be campaigning in you'll see bill clinton play of role to broker the deal, make the case publicly but to solve the problem out on the trail again. >> isn't this a different era? it is completely different. doesn't make sense to do that now? >> with the tax is enacted 1993 it was econoc growth

accelerated after the congressional republicans agreed on capital gains tax when the economy started to roll or. most will say it is not a good idea to raise tax rates and a period of sluggish growth. it is counterproductive what will really raise revenues is te late 1990's which is more rapid economic growth. when you have vibrant growth you get said gusher of revenue with the cbo that comes and we have a progressive tax system. gerri: but the stakes are very high.

but some house some side wins or loses? we will be in a recession again. the economy will contract again. i don't think the markets like what theyaw they sold off the worst day of the year. mariane? went to the professional traders who have serious thoughts about the ability of government? >> second, over the last year has been good for the stock market. but no one can aue we cannot afford failure,till make comment the same thing over and over from 2011. only in washington and does the speaker think he has a mandate is big is the

president. >> you have 435 elected meers of the house. the chance is a majority of them will vote for a tax rate increase are minimal. but a bipartisan majority willvote to through the revenues increase throgh limiting deductions is high. that is the way to go. he did ot do that with the price of politics and repaid the economic price. it is harder to solve but the avenue is clear. gerri: i am glad to hear you are not as cynical as i am. now what do you think? who is the party of gridlock?

log on and there will share the results of. >> he won another four years but what oes his victory mean for your health care? >> back to the bargaining table with the fiscal cliff will lawmakers of both sides will lawmakers of both sides find common ground? 4g lte ithe fastest.

so, which supeast lte service would yochoose, based on this chart ? don't rush into it, i'm not looking for the fastest answer. obviously verizon. okay, i have a different chart. going that way, does that make a difference ? look at verizon. it's so much more than the other ones. so what if we just changed the format altogether ? isn't that the exact same thing ?

it's pretty clear. still sticking with verizon. verizon. more 4g lte coverage than allther networks combined. gerri: mit romney promised to repl obamacare on the number one but since obama is sticking around what does the futu hold?

let's ask of irginia and attorney general who fought to have the law repealed. what is the next page? you dedicated life to fight the law. >> there are a few different thing is coming. now there will be a debate state-by-state having it in my gubernatorial race whether to have stayed health care exchange for defaulting to federal exchange. if we should expand medicaid in the manner the federal health care bills call for. gerri: you may have a debate with the states that you are faci deadlines right now for the implemtation. november 16 if you will

build a health exchange or not. will you ignore the deadline ? >> yes. we will pass through that. this administration has demonstrated they don't care what laws say. if people close to the deadline we have banned administrative deadline. it is a decision and the executive branch alone cannot make. general assembly comes into session in january 9th. we're just january and february the shortest in the country. we will face that had on. gerri: any other way to fight obamacare that you feel is unconstitutional? >> oklahoma of men did their lawsuit to include taxes and

penalties on employers. that is what finance it and the religious liberty challenges are working their way through from the hhs mandate that is set to go into effect in august. you will see a clash between this administrations and a number of churches when they tried to shove this policy to their faith including my catholic faith upon these churches. that will create a confrontation and the administration intentionally set that up but now the rubber meets the road. thatill create controvey. gerri: the commonwealth of virginia the exit polls had drawn the wending he did not.

you were kind enough to update me throughout the day. were you surprised at the end of the day how obama could take the election election, viinia and battleground states? >> just be gain for virginia i went to polling places we had complaints to the state board of elections with long lines. but that means a lot of voters. much more quietly than 2,008 feel obama campaign had a spectacular turnout effort that became more obvious but it was so much quieter but th to e coli effect. the president t 100,000 less boats than four years ago but mitt romney only got 30,000 maurer and john

mccain the gap was cut by two-thirds but the president still came out on top there ground game. gerr democras did well and consolidated in the senate. are you worried about your own election? >> no. we havea counter cyclical aspect it is always one year after the presidential race. in 2009 obama was the first democr to win rginia in my lifetime going back through their early sixties. but bobig donald had 59% of the boat for triad 50% lieutenant governor had 57% one year after the democric presidentne.

a republican sweep. this year will play out on its own. gerri: they give for coming. it is a pleasure. we will be in touch over obamacare. john boehner says higher taxes could be on the table we will get reaction rating agencies awarding obama's will have no honeymoon stage and congress work together and congress work together to keep away and you pick the price that works for you. great. whoa, whoa, jamie. watch where you point that thing. [ mocking ] "watch where you point that thing." you point yours, i point mine.

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gerri: the ection is over and obama back in office all eyes on the fiscal cliff speak as taxpayers will be hit. many organizations including blackrock took out ads in papers to warn about the impending disaster. joining me now barbara from blackrock it is of pleasure. why does blackrock think it is a big issue? >> look negative up of fiscal cliffs it is about jobs we raise taxes a lot come is sequestration, the economy, we went after the

clients and they agreed to cosign the letter to express ncern to get in front of it. not discussed uring the debate but the morning after it is the only thing you see gerri: today fitch's warned they would downgrade the debt if we don't do something to prevent it. -- we're talking allows $600 billion. generally it is a bullish tax cuts the patch for the amt, the death tax and huge spending cuts in defense.

the cbo said it will cut growth dramatically as much as 1.3%. do you agree? >> yes. but the sequestration cuts are not just about defense may be disproportionately but it is education, every sector will be subject to ts. if you are the ceo and havv to plans, the first, i want to invest, part to identify will have federal funding for programs will be cut i may have to lay off employees how do plan for that? gerri: we have had people on the show that say i will not expand to the payroll.

did anybody feel more confident? >> no. as the day played out to moody's and fitch list about. talk gained about and reaching across the aisle it was a little bit different tone but it is interesting to see how the market looks. >> they will be very short and nervous and sell-off the stock. >> uncertainty with business planning of? but company. even if it is short-term certainty wewill not go off the cliff it is helpful. >> you have a solution for

the housing market? >> it is very complicated. how do deal with the underwater homes from people who cannot get out under that? those are restructuring good gse or discourage investors from coming back to support the housing market. >> talk about $5 trillion of debt we will lead advocate a holistic solution to take invests' concerns. >> and try to get more investment. >> one of the most powerful woman on wall street thank you for coming.

thousands of people wrote hurt from superstar sandy up next what fema is up to. and harry reid, the deficit deficit, and if congress can deficit, and if congress can work together.

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america of loaded and they chose higher taxes even speaker of the house says maybe they could be on the table. >> for the purposes of the bipartisan agreement we're willing to except new revenue under the right conditions.

gerri: the author of who is the fairest of the mall? i think what john boehner is talking about, stephen is close-up deductions and loopholes not raise taxes on the wealthy. >> that is what they have been saying over the last three years like the super committee barack obama of one the election andhey have consequences. he ran they would raise the tax cuts on the rich but i would say he does have a mandate so john boehner is and is a little weaker but can he negotiates? >> here is a crystal ball.

>> but he has told us he wants to raise the dividend tax 52 about 43 and cpital gains 15 up at 24 and the individual rates overt 200,000 goes from 35 up at 42. gerri: you are killing incentives a. >> of course. of course. look at the last gdp report the sickness in the economy businesses are not investing why would urdu raise taxes on a business when they're not investing? is is the worst time to raise the capital gains tax. gerri: my fear they will pull in the reins even more the fiscal cliff 54 days away ceos look for a

friend not somebody they cannot predict they will plan misspending. >> as you know, we have a lame-duck session. they have to deal with the tax ise and the spending cliff. i am counter intuitive i a old fashioned those who have government contracts have to shrink business how can fitch say if we have spending cuts it will hurt the economy but two years ago they said it would cause a downgrade but we now we

hear from them ever 20 minutes. >> i am not so sure across-the-board cut might be healthy. what has private businesses? that is the same analysis the govement stimulus would create jobs. government snding is bad for the economy not good. gerri: we are on a roll. california passed a measure that raises income-tax for higher earners for:what is going on? >> >> you will have some of the rich people leave the state of california making good texas, nevada, florida, this

is the end of california as reno air. -- as we know it. it will get worse. >> 50% with favor taxes on the wealthy. you are crying in the lderness. >> republicans need to stick to principal keep paying tax rates low is good for the economy. democrats want to raise taxes. gerri: we have so far to go. please be with us every step of theay. >> classmate-- last night was not a party. [laughter] gerri: it was fascinating. meet interesting people meeting carlos gutierrez.

>> it must of been like a wake. gerri: it was pretty quiet. how wa street reacts to obama and the threat and nor'easter at a misery after superstar sandy. what is being done or what is not being dne more is not being dne more specifically? 4g lte is e fastest.

so, which supeast 4g lte service would yochoose, based on this chart ? don't rush into it, i'm not looking for the fastest answer. obviously verizon. okay, i have a different chart. going that way, does that make a difference ? look at verizon. it's so much more than the other ones. so what if we just changed the format altogether ? isn't that the exact same thing ? it's pretty clear. still sticking with verizon. verizon. more 4g lte coverage than all other networks combed. woman: what do you mean, homeowners insurance doesn't cover floods? [ heart rate increases ] man: a few inches of water caused all this? [ heart rate increases ] woman #2: but i don't even live near the water. what you don't know about flood insurance may shock you -- cluding the fact that a preferred risk policy starts as low as $129 a year. for an agent, call the number that appears on your screen.

gerri: people on the eastern and seaboard are just beginning to recover ar getting hit by ather storm not superstorm sandy but potent new york and new jeey and connecticut and pennsylvania with the wind gust at 60 miles per hour with coastal flooding was the three ft. storm surge. chris christie warned those a just got their power back on could lose it. there already power outages on long island with bracing rain and freezing temperatures that has ficials worried those recently lost their homes are at risk of literally freezing to death. no more real they and staten island parts were decimated

by hurricane sandy and democrats -- they're aying that is proved big government works. many people are critical of the federal government response and especially fema the fema centers were closed due to the weather. due to the weather? liz macdonald spoke to people who were boiled up but they were left behind and lied to. >> what do you make of fema response? they have evacuated by the way. >> is not helping out businesses. but only the homeowners. i pay taxes fema goes to the

bank to get a loan. >> how will you rebuild? >> you take it out of your own pocket hopefully will get back. gerri: baby mitt romney was right. the lack of the press and other problems facing residents a desperate need for gas as 1/4 of the stations are out now people are returning to the black market some are flocking to craig's list to buy and sell gas. our senior petroleum analyst joins me now. how serious is the black market? >> in your city the five boroughs only one-fourth of the stations have gas. more stations regionally do but t is hard hit here in

w york city. people trying to sell gasoline as much as $70 a gallon. gerri: $12 a gallon, 13, $20 on craig's list. people will o almost anhing they can. what are you seeing? >> we have seen so many different things. people are starting to do it. folks are getting desperate but there is gasoline and more justifiable prices pocket. gerri: help-wanted. 1 gallon of gas delivered to me so i can make it hohome. i will pay $40. should officials step in?

should the market the forced out? >> we saw katrina where officials did crackdown to deliver generators. but it will be difficult for officials to do all lot about thes the deals are thrugh e-mail it is the free market is somebody is willing to spend $40 it is the free-market. gerri: look at the map of s prices. what it do see coming? >> for the country they ll go down. here they are going up in the northeast but even regionally prices will start to go down as we approach thanksgiving.

gerri: we talk about your web site. low-key at what stage dense offer gas is a nice thing to know. >> we came together did this on saturday afternoon. great rests. 3 million page views so far. people are desperately looking. we are trying to build avoid to give anze desire just to3 give the 8,000 -- 80,000 updates at least all gas stations have had one update for anybody can update. gerri: is the amount of gas stations that actually have gas for the that is what you really want. thank you for coming on.

major airline scrapping flights in and out of the new york area with the sec and stormed into weeks. on op of the 24,000 canceled last week it will not give any easier as there will be crowded flights through thanksgiving. 24 million travelers fly eighth to the 16 to the 27 keep an eye o your stuff. according to abc news certain airports are known by sticky figures from the tsagents. number five and las vegas ternational. one dozen employees have been fired from the tsa. number four. 17 employees have been canned from heart ford. number three lax. number two major

cancellations today, a jfk. 27 employees fired for theft. numb one miami. 12th and passengers but never one and that. 29 workers have been fired for stealing stuff. my $0. and wall street greeting the second obama term.

gerri: the market sell-off with metallurgist post-election drop baht's in history. plummeting 313.the biggest drop this year and investors are nervous and with the fiscal clough we have been talking about. how much urther can give fall? will let go up? let's ask gary kaltbaum. eat to have the back. what about the market move? >> remember we have been correcting fr about seven weeks also sales growth is not good. now it is the realization of who is running the show. raising taxes and more government spending is not the recipe. gerri: investors are selling off stocks because they don't like obama's? >> they don't like obama's

obama's, like harry reid are john boehner. these are the people that brought us to this point* but now they will get into roomto fix the problem they brought to was? i don't think so. the only good news december is seasol strength also 2013 we get more bearish into the year. gerri: is here any place to run and hide? >> housing stocks. gerri: they are already up. >> listen. something is going on. the nasdaq was down 80% through 2003 because interest rates stay low. short-term bonds but my big worry hitting the of financial stocks they broke down a few names as be real

worried. gerri: as a result over regulation for financial's? >> of course. elizabeth warren has the senate seat wants to put the stranglehold on financial companies. we are dealing with what should be the opposite. too much government to much government spending, it has never worked in the history of time but that is the recipe and the market voted today. >> people are out there who say that is what we need. the market is not doing well, and neither is the economy. >> government creates nothing is only a live because of the taxpayer dollar.

taxpayers pay for the government if you take it from them that will hurt the economy. less government spending is better but we will not get there with thelection results. gerri: some day the market welcome back i hav confidence than that. but when? i have confidence in them. gerri: thank you for coming on. we will beight back and the question of the day. who is the party of gridlock? after sen years running fopresident mitt romney's campaign came to an end but there may still be hope for a change in washington. next. next. ♪ [ male announcer ] at scottrade,

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the. ♪ gerri: one day after winning reelection president obama has dr. leading lawmakers from both parties on the need to find bipartisansolutions on everything, taxes, deficits, jobs. the and the gridlock be overcome command to is to blame? democrats or republicans? here is what you are tweeting me . republicans. already started as the president was reelected. ted right to my hope is the republicans. the house is the only thing bbtween idiocy and normality. however, this your says it is not that simple. the nation is in gridlock with to pronounced opposing points of view in the party's reflected that.

on gerriwillis.m. 96 percent said democrats, you have a point of view. the party of gridlock. not too many folks say republicans. be sure to log on for our on-line question every weekday. finally, lat night i was on hand at romney's convention headquarters forhe candid concession speech, and i have to tell you, it was an emotional moment for many in the room, many who had worked with him for weeks to months, even ears. what was amazing about that night and the campaign was how quickly it was dismantled. people have spent every waking moment working for the candidate and had no plans for the next day. bags were packed. there romney movement over right then and there. within 30 minutes of his speech to the room was nearly empty. but here is what i hope. for the sake of the country, the commitment to fiscal responsibili, not spending more than we'll committing our debt under control, paying off continues. thatc